Latest news with #NSEBANK
Reuters
22-05-2025
- Business
- Reuters
India's IndusInd Bank drops after record quarterly loss on suspected employee fraud
May 22 (Reuters) - Shares of India's IndusInd Bank ( opens new tab fell as much as 4.3% on Thursday, a day after the private lender posted its largest-ever quarterly loss and said it suspects fraud by some employees led to accounting lapses, hurting its earnings. The stock was the top percentage loser on the benchmark Nifty 50 (.NSEI), opens new tab and the banks index (.NSEBANK), opens new tab. The lender's net interest income dropped in the March quarter as it adjusted for accounting lapses across its derivatives book and microfinance portfolio. At least five brokerages downgraded the stock since the results, while 10 slashed their price targets, taking the median price target to 787.50 rupees from 850 rupees last month, as per data compiled by LSEG. HSBC downgraded the stock by two notches to "reduce" from "buy". "There is no clarity on new management team, how they gain investor confidence, improve profitability and importantly, whether they will execute better than peers," HSBC said.
Reuters
05-05-2025
- Business
- Reuters
India's Kotak Mahindra Bank drops on worries over higher credit costs, soft loan growth
May 5 (Reuters) - India's Kotak Mahindra Bank ( opens new tab slid 5.5% on Monday after the lender's fourth-quarter results fanned concerns over higher credit costs and softer loan growth. The lender reported a bigger-than-expected drop in profit on Saturday, mainly hurt by higher provisions for bad loans. Analysts at Investec called Kotak's loan growth of 13% "a tad softer", while BofA analysts said the loan growth momentum was a "key disappointment." BofA also downgraded Kotak Mahindra Bank's stock to "neutral". Meanwhile, Bernstein analysts said Kotak saw yet another quarter of higher credit costs, which was a key surprise, especially as its peers reported stable or improving credit costs. The stock was the top loser on the benchmark Nifty 50 (.NSEI), opens new tab, which was trading 0.6% higher, and also on the Nifty bank index (.NSEBANK), opens new tab, which was flat. The session's fall trimmed the stock's year-to-date gains to about 16%, which is still roughly double the 8.3% increase in the Nifty bank index.
Reuters
27-02-2025
- Business
- Reuters
India's financial stocks jump as central bank further eases strict lending rules
Feb 27 (Reuters) - Shares of most Indian financial companies, especially those of non-bank and microfinance-focussed lenders, jumped on Wednesday after the central bank further eased its capital requirements for micro loans and bank credit. Financial stocks (.NIFTYFIN), opens new tab, which include non-bank finance companies (NBFCs), jumped about 1%, outpacing the 0.7% increase in banking stocks (.NSEBANK), opens new tab. The benchmark Nifty 50 (.NSEI), opens new tab, in comparison, was flat. The Reserve Bank of India, on Tuesday, trimmed the higher capital requirements introduced in November, the latest in a series of growth-supportive measures since Sanjay Malhotra took over as governor in December. Under his watch, the RBI has eased liquidity, delayed some regulations and loosened restrictions placed on some lenders. "We think this bodes well for the financial sector and lays more emphasis on consumption and growth ... and (we) reiterate our bullish view," Macquarie analyst Suresh Ganapathy said in a note. On the day, Bandhan Bank ( opens new tab gained 6%, while Shriram Finance ( opens new tab, AU Small Finance Bank ( opens new tab and Ujjivan Small Finance Bank ( opens new tab rose about 5% each. Cholamandalam Investment and Finance ( opens new tab and Aditya Birla Capital ( opens new tab advanced 4.5% each. Bajaj Finance ( opens new tab rose 2.7% and IndusInd Bank ( opens new tab gained 2%. In comparison, top private lenders such as ICICI Bank ( opens new tab and HDFC Bank ( opens new tab were up under 1%. The RBI's move should help most NBFCs' earnings, Morgan Stanley analysts said, picking Aditya Birla Capital, PNB Housing, Shriram Finance and Bajaj Finance as top beneficiaries. Nomura analysts said banks with higher microfinance loan exposure, such as Bandhan Bank, IndusInd and AU Small Finance Bank, would also get much needed relief. Since the rules were implemented in November, Aditya Birla Capital's shares had slid 16%, while AU Small Finance Bank and IndusInd Bank sank 28% and 31%, respectively. The worst hit, with a 38% tumble, was Bandhan Bank -- the day's top gainer. However, Axis Bank Chief Economist Neelkanth Mishra cautioned that a reversal in the broad-based slide in loan growth -- caused by high liquidity costs and the RBI's discomfort with high loan-to-deposit ratios -- could take time. "While these (RBI) signals should help revive lending, we believe the binding constraint remains durable liquidity."
Reuters
05-02-2025
- Business
- Reuters
Indian shares set to open higher ahead of RBI policy meet
Feb 5 (Reuters) - India's equity benchmarks are set to open higher on Wednesday, with rate-sensitive sectors in focus as the three-day monetary policy meeting begins later in the day, where the central bank is widely anticipated to reduce its rates. Both blue-chip indexes - NSE Nifty 50 (.NSEI), opens new tab and BSE Sensex (.BSESN), opens new tab - climbed 1.6% and 1.8%, respectively, on Tuesday, logging their best session in a month and pushing them into positive territory for 2025. Domestic interest rate-sensitive banks (.NSEBANK), opens new tab and financials (.NIFTYFIN), opens new tab rose about 2% each, while the auto index (.NIFTYAUTO), opens new tab logged its fourth straight daily gain. The GIFT Nifty futures were trading at 23,840.5, as of 8:10 a.m. IST, indicating that the blue-chip NSE Nifty 50 (.NSEI), opens new tab will open above Tuesday's close of 23,739.25. Asian markets opened higher, with the MSCI Asia ex-Japan (.MIAPJ0000PUS), opens new tab rising 0.3%. Wall Street equities advanced overnight, supported by the one-month tariff reprieves on Mexico and Canada. Safe-haven investors favoured gold, which hit a record high on Wednesday, after China retaliated with tariffs on Washington in response to U.S. President Donald Trump's tariff salvo. While global trade uncertainties loom, Indian markets await the Reserve Bank of India's policy decision, due on Friday, in which the central bank is expected to deliver a 25-basis-point rate cut to support growth revival. Analysts said that with largecaps trading at attractive valuations and the recent tax cuts in the union budget aimed at boosting consumption, markets could maintain positive momentum ahead of the RBI's policy decision. India's Nifty 50 and Sensex are currently about 9.7% and 8.6% below their record highs from Sept. 27, weighed down by concerns over slowing economic and corporate earnings growth, along with continued foreign outflows. FPIs have offloaded Indian shares worth $9.37 billion in 2025 so far, registering the second-highest monthly sales in January. STOCKS TO WATCH ** Titan ( opens new tab beats December-quarter profit estimates on festive gold demand ** Tata Power ( opens new tab misses third-quarter profit estimates on slowing power demand ** Whirlpool of India ( opens new tab reports 51% profit growth in Q3 on strong demand in the festive season ** JK Tyre ( opens new tab posts second straight drop in profit on weak demand from bus, truck makers ($1 = 87.1530 Indian rupees)
